Fuel Hedges Kept Emirates Profitable as Earnings Fell Two-Thirds
Fuel hedges turned a likely loss into a profit for Emirates. The war’s full cost will show only once that cover runs out.
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Fuel hedges turned a likely loss into a profit for Emirates. The war’s full cost will show only once that cover runs out.
The company, which was majority owned by a private equity firm, said it was beginning a "new chapter".
AirAsia now has a date for Bahrain but less need for it. A Pegasus deal routing Europe traffic through Istanbul undercuts the case for a Gulf hub.
Jet fuel prices are still rising, and just about every variable affecting air travel is in flux — aircraft supply, air traffic volume, global partnerships, input costs. Decisions made today will determine who succeeds in aviation.
Many airlines have learned the hard way that building short-haul networks around long-haul ambitions can backfire. Walsh believes IndiGo’s scale can generate connections without a hub, but that theory won’t be tested until its A350s arrive in 2028. Until then, with record fuel prices and no hedging in place, caution makes sense.
Avoiding Russia has become a climate problem for airlines heading from Europe to Northeast Asia — and a competitive disadvantage. Finnair, one of the most affected airlines, says it’s committed to its climate goals.